Friday, March 22, 2024 | 2:17 p.m.
A Las Vegas woman was sentenced to 30 months in prison after attempting to fraudulently receive over $1 million in Paycheck Protection Program loans available during the COVID-19 pandemic, according to the U.S. Department of Justice.
Karen Chapon manipulated federal tax documents and falsely represented her companies’ business operations to apply for six PPP loans, according to the DOJ. She received four, totaling over $596,000, the DOJ said.
The PPP loans were part of the the Coronavirus Aid, Relief and Economic Security Act, and could only be used for business-related purposes, such as rent, payroll and utilities.
Chapon used the funds for her own personal benefit, including the purchase of a Mercedes Benz SUV, authorities alleged.
Chapon pleaded guilty to one count of bank fraud in August 2023 and will be required to pay over $589,000 in restitution, officials said.
